There’s a common misconception floating around about flood insurance. Many homebuyers are under the impression that flood insurance is only necessary for properties near the water or at a low sea level with a recent history of floods. Federal law only requires flood insurance in high-risk areas, but lenders often require it even in moderate and low-risk areas. We’re going to explain why flood insurance is a necessary investment for every homeowner.


Waging your residence on the “chance” that it won’t flood in the lifetime of the loan is riskier than you may think. According to the Information Insurance Institute, “90 percent of all natural disasters in the U.S. involve some type of flooding[…]and 20 percent of all flood claims are filed in low to moderate flood risk areas.” You don’t want to chance your place of shelter on the weather. Home damage from floods comes in many forms, including mudslides, water from storm/hurricane damage, broken water mains, faulty drainage systems and snow melt.If there is a flooding incident in your home, you want to guarantee you have funds to bring your home back to its pre-flood condition, and neither Federal Disaster Aid nor homeowner’s insurance is going to cover it. Flood insurance is the only policy that will cover everything you need to get your life back on track post-flood without emptying your bank account. Every policy is different, but flood insurance generally covers appliances, flooring, essential home systems like A/C, personal property and even art.It doesn’t matter if the last flood was a week ago or a thousand years ago, flood insurance is for every homeowner that wants to protect their investment and their home.

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